Ethena Faces Supply Shock as Whale Sale Raises Downside Concerns
After a significant investor placed 16.86 million ENA into Coinbase Prime, Ethena continues to face pressure. An estimated $15 million was lost as a result of the transfer. This is around 81% less than the cost basis of $18.53 million. Significant sell-side liquidity was brought about by this move, and the ENA price was trading close to $0.14–0.15. This was last seen a few months ago.
The price action did not, however, drastically degenerate after the deposit. Candles, on the other hand, stayed much under control, indicating absorption as opposed to chaotic selling. This response implies that the move was expected by market players. However, the magnitude of actual losses indicates fatigue rather than assurance. Many holders stay far below the surface. Distribution at any relief rally is more likely as a result. Because of this, Ethena keeps trading in a precarious balance where opportunistic accumulation and exits collide. This increases risk while suppressing volatility.
ENA Remains Under Pressure Despite Short-Term Consolidation
Since the collapse from the $0.30 region, ENA has steered the market lower by adhering to a well-defined descending channel. Although the structure still favors sellers, recent price activity indicates consolidation close to the top boundary of the channel. Since the RSI stays below 40, weak momentum rather than reversal strength is reinforced.
Crucially, the channel still permits a more thorough decline in the direction of the $0.1315 support area. This level is consistent with both the general channel symmetry and previous response lows. The bearish pattern of lower highs would be broken by a clear recovery above resistance at $0.165. ENA hasn’t yet accomplished that, though. The market is still reactive as a result. While buyers protect levels, sellers continue to steer the trend until a significant change in structure occurs.
ENA Price Stays Weak Despite Strong Spot Buyer Activity
Price weakness persists, but the 90-day Spot Taker CVD is still net positive. This demonstrates persistent buyer aggression during downturns in the market. This discrepancy is significant. Despite ENA’s more than 60% decline from mid-cycle highs, taker purchasers are still absorbing sell pressure. Instead of panic-driven exits among spot participants, such conduct points to accumulation. Price, however, has not reacted in a positive way. Demand thus seems defensive as opposed to controlling. To slow down decreases, buyers intervene. They are not forcing structural change, though.
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